NYSE$NXRT

NexPoint Residential Trust Inc · Q2 2021 earnings

Q2 2021 earnings · · Investor relations

Briefing

Net income increased, and same-store NOI and Core FFO guidance were raised, properties in Charlotte were acquired.

NexPoint Residential Trust, Inc. reported financial results for the second quarter ended June 30, 2021. The company reported an increase in total revenues and same store NOI. NXRT acquired The Verandas at Lake Norman and Creekside at Matthews located in Charlotte, North Carolina for a combined purchase price of $121.5 million.

  • NXRT reported Net Loss of $(3.4)M attributable to common stockholders for the quarter ended June 30, 2021, compared to Net Loss of $(9.3)M for the quarter ended June 30, 2020.
  • For the three months ended June 30, 2021, Q2 Same Store properties average effective rent, total revenue and NOI increased 3.6%, 3.4% and 0.6%, respectively, and occupancy increased 70 bps over the prior year period.
  • The weighted average effective monthly rent per unit across all 39 properties held as of June 30, 2021 was $1,159, while physical occupancy was 96.1%.
  • On June 30, 2021, NXRT acquired The Verandas at Lake Norman and Creekside at Matthews located in Charlotte, North Carolina for a combined purchase price of $121.5 million.

Headline financials

Total Revenue

$52.6M

Previous: $50.7M+3.7%
EPS (adj)

$0.56

Previous: $0.59-5.1%
Physical Occupancy

96.1%

Previous: 95.3%+0.8%
Avg Monthly Rent

$1.16K

Previous: $1.11K+4.5%
Capital Expenditures

-$143M

Previous: -$157M+8.6%
Free Cash Flow

-$147M

Previous: -$166M+11.7%
Net Income

-$3.41M

Previous: -$9.29M+63.3%
Operating Income

$4.74M

Previous: $1.68M+183.1%
Gross Profit

$41.4M

Previous: $38.7M+6.9%
Cash & Equivalents

$26.5M

Previous: $53.2M-50.2%
Total Assets

$1.94B

Previous: $1.82B+6.6%
Stock-Based Comp

$1.8M

Previous: $1.34M+34.5%

Revenue & EPS history

NexPoint Residential · Revenue · Quarterly

$52.6M

Q2 2021+3.7%vs Q2 2020
Beat estimate in 11 of 16 quarters(69%)
ActualEstimate

Revenue by segment

NexPoint Residential · $69.6M total across 2 segments · Q2 2023

  • Rental Income
    $67.8M
  • Other Income
    $1.76M

Forward guidance

NXRT is providing updated 2021 guidance ranges for earnings (loss) per diluted share, Core FFO per diluted share, Same Store rental income, Same Store total revenue, and Same Store NOI.

Tailwinds

  • Full Year 2021 guidance forecast includes Same Store growth projections.
  • Guidance takes into effect the tornado damage at Cutter’s Point, fires at Timber Creek and Venue 8651, units damaged by winter storm Uri.
  • Guidance includes the completed acquisitions of Creekside at Matthews and The Verandas at Lake Norman.
  • Guidance includes the forecasted acquisition of a to-be-identified multifamily community in Raleigh, NC.
  • Guidance includes the forecasted dispositions of Beechwood Terrace and Cedar Pointe and assumes no further acquisition or disposition activity for the remainder of the year.

Headwinds

  • The largest component to our same store operating expense forecast, real estate tax expense, is largely outside of our ability to control.
  • Actual acquisitions and dispositions and the corresponding impact to EPS and Core FFO guidance could vary significantly from our projections.
  • We undertake no duty to update these assumptions, except as required by law.
  • Full Year 2021 guidance forecast includes Same Store growth projections presented above, which takes into effect the tornado damage at Cutter’s Point, fires at Timber Creek and Venue 8651, units damaged by winter storm Uri.
  • Transaction volumes presented are representative of expected full year targets which include the completed acquisitions of Creekside at Matthews and The Verandas at Lake Norman, the forecasted acquisition of a to-be-identified multifamily community in Raleigh, NC and the forecasted dispositions of Beechwood Terrace and Cedar Pointe.

Historical earnings impact

How earnings announcements have historically affected this stock's price.

Avg. return before/after earnings

Based on 20 quarterly earnings reports · overlaid with Q2 2021

Historical avgQ2 2021

+1.1%

Avg return

Earnings day

+1.6%

Avg return

5 days after

+2.1%

Avg return

30 days after

61%

27 / 44 earnings

Positive

+9.7%

Q2 2018

Best reaction

-10.2%

Q2 2023

Worst reaction

Earnings price reactions
QuarterReport dateReaction (Day 0)+5 days+30 days
Q1 2026-2.0%+0.1%+0.7%
Q4 2025-0.2%-5.1%-15.4%
Q3 2025+2.2%+0.4%+4.0%
Q1 2025+2.0%+5.3%-6.5%
Q3 2024-0.7%-5.2%+10.4%
Q2 2024+0.3%+1.6%+8.9%
Q1 2024+2.3%+4.6%+7.5%
Q4 2023-6.5%-5.7%+1.2%
Q3 2023+0.3%+12.0%+13.5%
Q2 2023-10.2%-13.7%-21.7%
Q1 2023-5.0%-2.0%-8.0%
Q4 2022+1.1%+0.2%-17.9%
Q3 2022+9.1%+12.8%+14.1%
Q2 2022-1.6%+5.7%-7.4%
Q1 2022+3.7%-0.4%-19.5%
Q4 2021+9.5%+7.8%+12.1%
Q3 2021+2.4%+5.6%+8.8%
Q2 2021-2.7%-3.5%+0.5%
Q1 2021-1.6%-1.1%+1.9%
Q4 2020-0.2%-2.5%+8.0%
Q3 2020-1.0%+0.2%-2.1%
Q2 2020+7.0%+7.8%+9.7%
Q1 2020+8.4%-2.4%+24.0%
Q4 2019-2.8%-3.4%-28.3%
Q3 2019+3.4%+3.3%+2.1%
Q2 2019+1.0%+3.2%+8.0%
Q1 2019+3.7%+5.9%+8.8%
Q4 2018-2.6%-0.8%-3.5%
Q3 2018+1.7%-4.6%+4.0%
Q2 2018+9.7%+13.2%+16.0%
Q1 2018+1.0%+2.9%+3.5%
Q4 2017-4.3%-2.6%+2.7%
Q3 2017+7.7%+14.7%+20.9%
Q2 2017-4.9%-3.6%-7.1%
Q1 2017+1.1%+0.0%+0.1%
Q4 2016-1.6%+1.0%+7.5%
Q3 2016+3.6%+6.9%+11.7%
Q2 2016+1.9%+3.3%+7.5%
Q1 2016+1.3%
Q4 2015-1.1%
Q3 2015+2.9%
Q4 2014+5.7%
Q2 2015+5.2%
Q1 2015+1.5%
Q3 2014
Q2 2014
Q1 2014

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